Firms exit a competitive market when they incur an economic loss. In the long run, this exit means that the economic losses of the surviving firms
A) increase.
B) decrease until they equal zero.
C) decrease until economic profits are earned.
D) do not change.
E) might change but more information is needed about what happens to the price of the good as the firms exit.
B
Economics
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The unemployment rate measures, at a point in time, the ________
A) percentage of workers who do not have a job B) percentage of workers who do not have a job but are looking for work C) percentage of workers who stop working D) percentage of workers who are looking for work E) none of the above
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In which market type does the firm face the most inelastic demand curve?
A) perfect competition B) monopolistic competition C) monopoly D) oligopoly
Economics